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Responsible Infrastructure Sustainability Report 2018-19 Responsible Infrastructure 1 II Table of Contents 1. About the Report 01 2. Message from the Chairman & 02 3. Organisational Overview 03 4. Our Approach to Sustainability 08 5. Engineering Highlights 11 6. Our Employees 13 7. Health and Safety 19 8. Economic Performance 23 9. Environmental Performance 25 10. CoP: UN CEO Water Mandate 29 11. Community Sustainability 32 12. Our Sustainability Performance 34 13. Independent Assurance Statement 36 14. GRI Content Index 38 1 About the Report Responsible Infrastructure 2018-19 is the 10th Annual Sustainability Report of Hindustan Construction Company Ltd. This report has been prepared in accordance with the GRI Standards: Core Option. The report presents management disclosure and performance highlights on the key sustainability issues material to the company. The reporting period is the financial year ending on March 31, 2019. GRI Services reviewed that the GRI content index is clearly presented and the references for all disclosures included align with the appropriate sections in the body of the report. This report includes the 11th The report has undergone limited assurance (as per AA 1000 AS standard) by Thinkthrough Consulting Pvt. Ltd. (TTC), an independent professional services firm. Our reporting boundary is inclusive of all HCC projects in progress during the reporting year. Any exceptions in the boundary with respect to specific performance disclosures are clearly mentioned within the report. We will strive to continue enhancing our sustainability disclosures going ahead. Any feedback and queries are welcome, and may be directed to: Aditya Patwardhan Assistant General Manager Corporate Social Responsibility [email protected] 102-1, 102-2, 102-4, 102-46, 102-50, 102-52, 102-53, 102-54 2 Message from the Chairman & Managing Director Dear Reader, few companies in the country to achieve the landmark of 10 years of consistent reporting. The 2018-19 report tracks our performance across the triple bottom-line, including environmental responsibility, stakeholder engagement and business sustainability. This report is inclusive of our 11th consecutive Communication on Progress (COP) on the U.N. Global e Global Reporting Initiative (GRI) Standards and is independently assured by a third party agency. We have adopted construction practices that are sustainable, ensure prudent use of natural resources, minimize the impact on the environment and preserve the eco-system. Sustainability is embedded in the core values of our work as we continue to innovate and apply next-gen practices to execute some of the largest projects in the country. the Prime Minister Shri Narendra Modi. These projects include the 4.9 km Bogibeel Rail-cum-Road Bridge across the Brahmaputra in Assam - Hydroelectric Project in Jammu & Kashmir and the 110MW Pare Hydroelectric Project in Arunachal Pradesh. Over the years, our in-house water stewardship programme has helped enhance the sustainability of our operations. With improved water use efficiency across operations, accompanied by a community- based water conservation intervention which conserved more than 390 million litres of water, HCC has maintained Water Positive status for the fifth year consecutively. Beside efficient water usage in our operations, we also ensure that communities in the vicinity have better access to water. In the year 2018-19, our Company has crossed several key milestones despite the challenging economic conditions in the country. We have taken several steps this year to strengthen the company, both financially and operationally. With focus on its core operations and strengths; emphasis is given to improve cost and operational efficiencies. We have also started the process of focused de-leveraging with a much stronger sense of purpose to create a more sustainable financial foundati As we complete a decade of sustainability reporting, I look forward to the next decade of continued opportunities to shape sustainability in our industry. Ajit Gulabchand Chairman and Managing Director 102-14 3 Organisational Overview Founded by Industrialist Seth Walchand Hirachand in 1926, HCC Ltd, headquartered in Mumbai, has constructed a large number - , eneration capacities, more than 3800 lane kilometres of expressways and highways, over 335 km of complex tunnelling of which over 183 km are in the Himalayan region and over 365 major bridges. Today, HCC Ltd. serves the infrastructure sectors of transportation, power and water. Landmark projects executed by HCC include the Bogibeel Bridge -cum-road steel bridge; Kishanganga Hydro Power Project Largest EPC contract of NHPC; Bandra Worli Sea Link − cable-stayed bridge; Kudankulam Nuclear Power Plant and largest light water reactors and the Kolkata Metro HCC is the first construction company in India to implement ISO certified Quality, Occupational Health & Safety and Environment Management systems. HCC has also achieved the fastest implementation of SAP- ERP across all its project locations, some even at record-breaking altitudes of 11,000 feet in the Himalayan ranges. The Company has invested in the early adaption of advanced engineering equipment, new and 2019, is Rs 18,554 crore ($2.7 billion). The company has registered revenue of Rs 4,341 crore ($ 634 million) and operating profit of Rs. 533.39 crore during FY 2018-19. Committed to responsibility are integral principles of the business goals. Our initiatives encompass Disaster Relief, Water Sustainability and Community Initiatives. Disaster Relief forms a significant area of focus at by way of being a founder member of Disaster Resource Network of India. HCCs emergency response teams volunteered during a number of natural disasters in India and abroad. The Company is also engaged in national and international forums, such as the World Economic Forum, The Energy and Resources Institute, the World Business Council for Sustainable Development etc. Recognizing the emerging water crisis and with a view to make water sustainability a corporate priority, HCC is first Indian company Water Mandate. HCC has demonstrated its water consciousness by implementing a series of rigorous and improved water management practices at its project sites. Since 2010, all ility reports are made as per the Global Reporting Initiative . 102-2, 102-3, 102-6, 102-7, 102-12, CRE6 4 The Board of Directors at HCC Ajit Gulabchand Chairman & Managing Director Arjun Dhawan Group CEO & Whole-time Director Shalaka Gulabchand Dhawan Whole-time Director (upto July 31, 2019) Rajas R. Doshi Independent Director Ram P. Gandhi Independent Director Sharad M. Kulkarni Independent Director Anil C. Singhvi Independent Director Harsha Bangari Nominee Director (upto February 6, 2019) Dr. Omkar Goswami Independent Director N. R. Acharyulu Non-Executive Director Samuel Joseph Nominee Director (w.e.f. March 26, 2019) Santosh Janakiram Additional Director - Independent (w.e.f. June 17, 2019) Mahendra Singh Mehta Additional Director - Independent (w.e.f. June 17, 2019) Further details of our corporate governance are available in the Annual Report FY 2018-19 on our website: https://hccindia.com/uploads//reports/0_37250200_1566995792_HCC_Annual_Report_2018-19.pdf Our Equity Share is listed on the Bombay Stock Exchange (BSE) as well as the National Stock Exchange of India Limited (NSE). HCC Clients: 102-5, 102-18, 102-23, 5 Strategic International Associations 6 Vision To be the Industry Leader and a market driven engineering construction company renowned for excellence, quality, performance and reliability in all types of construction. Mission Constantly assess the needs, realities and values of the customer and set goals to satisfy their needs Continually innovate, develop and adopt state-of-the-art technologies, methodologies and materials to deliver customer satisfaction through better, faster and cheaper construction Continually aspire to deliver higher standards of safety, occupational health and environment protection at work Continually develop and maintain a robust supply chain that will help us deliver value to the customer on time and to expectations Continually improve the competence of our people through education and by inculcating strict principles of conduct and responsibility, high standards of performance, and respect for individuals and their work. Organize work for effectiveness resources to the future To build a reputation of trust and reliability amongst our customers, other stakeholders and society. Awards and Recognitions 2019: 'Rail Analysis India Awards 2019' to HCC Ltd as Winner of the "Achievement of Tunnelling" award 'Corporate BBS Award' to HCC Ltd as 1st Runner up in the Construction Category under Forum of Behavioural Safety 'Ministry of Road Transport and Highways (MoRTH) - Gold Award' to Baharampore Farakka Highways Ltd (Shibpur Toll Plaza) for Excellence in Toll Plaza Management 'Ministry of Road Transport and Highways (MoRTH) - Champions Award' to Baharampore Farakka Highways Ltd (Chandermore Toll Plaza) for Excellence in Toll Plaza Management 'Ministry of Road Transport and Highways (MoRTH) - Champions Award' to Farakka Raiganj Highways Ltd (Laxmipur Toll Plaza) for Excellence in Toll Plaza Management 2018: 'HSE Excellence Award 2018' to HCC as Winner of the HSE Excellence Construction Sector of the year 'Construction Times Award' to Kishanganga Hydro Power Project for Best Executed Hydro Power Project of the year 'Dun & Bradstreet - Winner of Infra Awards 2018' to Kishanganga Hydro Power Project under Power
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